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View Full Version : Anyone Ever Purchase Property Through A Private Sale Without A Real Estate Company?



schexc
12-12-2015, 12:30 PM
We're looking for anyone that has experienced this type of transaction and is willing to PM there knowledge and offer any guidance.

Aruba-Mark
12-12-2015, 03:50 PM
We are purchasing currently in Gold Coast. Where are you looking to purchase? I would HIGHLY recommend purchasing using someone to help guide you through the process.

GETA62
12-12-2015, 04:17 PM
Agreed with Aruba-Mark. Purchased a house near Gold Coast thru Century 21 and appreciate their help and guidance. Good luck.

gaby
12-12-2015, 05:12 PM
We always stay at Gold Coast. Love it here

aquaman
12-12-2015, 10:15 PM
We're looking for anyone that has experienced this type of transaction and is willing to PM there knowledge and offer any guidance.
You must have a strong stomach to do this. I have purchased several properties here. Each time I used a knowledgeable agent to represent me. Even then issues arose. Under Dutch law you have limitations on your remedies, even if you are not in the wrong.

I suggest you you retain a Notary up front. Explain what you are doing and be guided by their advice. I would not just accept going with the sellers notary. Be careful. I speak from experience

j

Retagger
12-12-2015, 10:34 PM
Excellent advice John.

act1966
12-12-2015, 11:27 PM
You must have a strong stomach to do this. I have purchased several properties here. Each time I used a knowledgeable agent to represent me. Even then issues arose. Under Dutch law you have limitations on your remedies, even if you are not in the wrong.

I suggest you you retain a Notary up front. Explain what you are doing and be guided by their advice. I would not just accept going with the sellers notary. Be careful. I speak from experience

j

Completely agree. Mitigate the pitfalls of purchasing real estate in Aruba, wherever possible. It's not as clear cut as in North America.

schexc
12-13-2015, 08:17 AM
So far I've been advised to retain a notary and be assisted by a real estate agent/broker. Is it advisable to do both or one or the other?
I did not realize that you can seek out your own notary. I thought that it was assigned. Interesting...

Thank you all for your continued advise.

aquaman
12-13-2015, 08:38 AM
So far I've been advised to retain a notary and be assisted by a real estate agent/broker. Is it advisable to do both or one or the other?
I did not realize that you can seek out your own notary. I thought that it was assigned. Interesting...

Thank you all for your continued advise.

what is your situation? Are you buying in a development like Gold Coast or similar or are you buying an existing private home? This can determine how to proceed.

Even though i hired hired an agent to assist on my last purchase, it was I who dictated the particular Notary I wished to use

you may be aware that in Aruba anyone can work as a real estate agent. No course is taken or training and accreditation is required. Only the principal brokers who own the real estate company are required to be formally licensed. ( Not sure that is always the case either )

Also, it is really important to have every detail of what is to be included in the purchase down on paper. If at closing there is any dispute about an item. e.g. a fridge to be included and it is not on paper, the Notary will not push for it. They will only enforce exactly what is written down as to content and items to be included in the sale

schexc
12-13-2015, 08:48 AM
We have decided against an existing free standing home and have narrowed our search down to a condo in the existing development of Palma Real.


what is your situation? Are you buying in a development like Gold Coast or similar or are you buying an existing private home? This can determine how to proceed.

Even though i hired hired an agent to assist on my last purchase, it was I who dictated the particular Notary I wished to use

you may be aware that in Aruba anyone can work as a real estate agent. No course is taken or training and accreditation is required. Only the principal brokers who own the real estate company are required to be formally licensed. ( Not sure that is always the case either )

Also, it is really important to have every detail of what is to be included in the purchase down on paper. If at closing there is any dispute about an item. e.g. a fridge to be included and it is not on paper, the Notary will not push for it. They will only enforce exactly what is written down as to content and items to be included in the sale

act1966
12-13-2015, 09:50 AM
We have decided against an existing free standing home and have narrowed our search down to a condo in the existing development of Palma Real.

Is the condo listed by a real estate agent? If it is, you'll have to deal with both a real estate agent and a notary - even if you don't have an agent, you'll still need to go through the seller's agent. And the notary acts somewhat like a real estate lawyer in North America. Yes, you can choose which notary - I believe it has to be agreeable to both parties though.

Other things:

- the closing date is subject to change... it seems to be at the whim of the notary and how busy they are. It's not as stringent as in North America.
- you can close the property by granting power of attorney to someone if you can't be there for the actual closing but the power of attorney can't be assigned to your real estate agent
- agree with AQ - read the document VERY closely - particularly if you're buying turnkey... we actually took pictures of all contents and all parties signed off on a document with the pictures/descriptions outlined.
- make sure it's clear who is responsible for which closing costs as they're not insignificant (from 5-8% of the purchase price typically)
- funding/mortgages can be difficult to obtain for foreigners and it's EXPENSIVE... when we started looking, we inquired about securing a mortgage in Aruba - the rate quoted was 12% I think the market rate in Canada at the time was below 2% for the equivalent terms... it was insane... and foreigners needed to put 30% down! Yeah, we financed it ourselves
- make sure you have an Aruban bank account and it takes some time to open them so plan on that (it took us almost two weeks from setting foot in the bank, going through all the documentation, securing web access and debit cards) - we tried to do things in advance like sending documentation but Aruba Bank wouldn't do it and then they left us waiting in the lobby for one hour at our scheduled appointment... yeah, we didn't take our business there
- moving cash to Aruba can take some time (i.e. wires) - the notary will expect that you fund the deal in advance of closing so plan for that; we've had wires that appeared within 24 hours and others that took four days

Lots of hassles but, in the end, it's all worth it!!

Retagger
12-13-2015, 10:12 AM
I have a few friends that live in Palma Real. They are all New Jersey. Very nice place, close to the beach and within waliking distance to some excellent restaurants.

schexc
12-13-2015, 11:05 AM
The condo is currently not listed with an agent and we do have one either. That's what prompted me to start this thread. Thank you for the information. It is greatly appreciated.
On another note....can't wait to see your show!!!


Is the condo listed by a real estate agent? If it is, you'll have to deal with both a real estate agent and a notary - even if you don't have an agent, you'll still need to go through the seller's agent. And the notary acts somewhat like a real estate lawyer in North America. Yes, you can choose which notary - I believe it has to be agreeable to both parties though.

Other things:

- the closing date is subject to change... it seems to be at the whim of the notary and how busy they are. It's not as stringent as in North America.
- you can close the property by granting power of attorney to someone if you can't be there for the actual closing but the power of attorney can't be assigned to your real estate agent
- agree with AQ - read the document VERY closely - particularly if you're buying turnkey... we actually took pictures of all contents and all parties signed off on a document with the pictures/descriptions outlined.
- make sure it's clear who is responsible for which closing costs as they're not insignificant (from 5-8% of the purchase price typically)
- funding/mortgages can be difficult to obtain for foreigners and it's EXPENSIVE... when we started looking, we inquired about securing a mortgage in Aruba - the rate quoted was 12% I think the market rate in Canada at the time was below 2% for the equivalent terms... it was insane... and foreigners needed to put 30% down! Yeah, we financed it ourselves
- make sure you have an Aruban bank account and it takes some time to open them so plan on that (it took us almost two weeks from setting foot in the bank, going through all the documentation, securing web access and debit cards) - we tried to do things in advance like sending documentation but Aruba Bank wouldn't do it and then they left us waiting in the lobby for one hour at our scheduled appointment... yeah, we didn't take our business there
- moving cash to Aruba can take some time (i.e. wires) - the notary will expect that you fund the deal in advance of closing so plan for that; we've had wires that appeared within 24 hours and others that took four days

Lots of hassles but, in the end, it's all worth it!!

Andrea J.
12-13-2015, 12:12 PM
i love palma real!

if i were to be buying in aruba palma real is where we'd consider first.

good luck in your endeavors and i am happy those that have the experience are posting their advice/thoughts.
thanks all.
We have decided against an existing free standing home and have narrowed our search down to a condo in the existing development of Palma Real.

schexc
12-13-2015, 12:36 PM
Thank you Andrea! We've been sitting on the fence for a couple of years. And yes, thanks to all who are chiming in!


i love palma real!

if i were to be buying in aruba palma real is where we'd consider first.

good luck in your endeavors and i am happy those that have the experience are posting their advice/thoughts.
thanks all.

Aruba-Mark
12-13-2015, 12:59 PM
FYI... current mortgage rates at ArubaBank is 7% so not terrible but not the US at 3 to 4%. I checked RBC rates and they were higher at 7.75%. RBC requires a 33.3% down and ArubaBank requires 40% down. The reason you have to open bank accounts on the island I was told was due to money laundering rules. They have to meet you face to face to make sure you are who you say you are.

act1966
12-13-2015, 03:37 PM
FYI... current mortgage rates at ArubaBank is 7% so not great but not the US at 3 to 4%. I checked RBC rates and they were higher at 7.75%. RBC requires a 33.3% down and ArubaBank requires 40% down. The reason you have to open bank accounts on the island I was told was due to money laundering rules. They have to meet you face to face to make sure you are who you say you are.

Yes. Identity verification which takes some time. You need quite a bit of documentation to open the account as well.

schexc
12-13-2015, 07:54 PM
All great input. Thank you everyone for the continued support!

Jacki
12-14-2015, 09:15 AM
Great advice from so many on this thread! I love this forum!